[Click e-Stock] "HCT Has Multiple Growth Drivers"

On October 14, Yuanta Securities analyzed that HCT's current stock price is highly attractive in terms of valuation, considering the presence of multiple growth drivers.

Kwon Myungjun, a researcher at Yuanta Securities, explained, "HCT's main businesses are testing and certification services, as well as calibration services," and added, "Due to the structure of its business, quarterly performance does not fluctuate significantly, and revenue in the second half of the year has tended to surpass that of the first half."

He continued, "In the first half of this year, HCT recorded revenue of 54.9 billion won, up 25.0% compared to the same period last year," and added, "Operating profit was 6.4 billion won, an increase of 14.1% year-on-year."

He emphasized, "Consumers' demands for product and service safety and quality are increasing," and noted, "This is driving companies to require strict testing and certification processes from the product development stage."

Researcher Kwon analyzed, "Revenue from the testing and certification business grew at an average annual rate of 13.3%, from 43.0 billion won in 2021 to 62.7 billion won in 2024," and added, "This demonstrates HCT's market competitiveness, as its growth rate outpaces that of the overall market."

Additionally, he explained, "Revenue from the calibration business in the first half of this year increased by 27.5% compared to the same period last year," and attributed the recent improvement in performance to orders for defense calibration projects. He added, "In January 2023, HCT secured a contract with Hanwha Aerospace for the development of overhaul elements for the CBR reconnaissance vehicle II project," and "In October of the same year, HCT won a contract with the Armed Forces Financial Management Corps for the specialized calibration automation system manufacturing project."

He further predicted, "The domestic defense industry is expected to continue growing," and "Demand for automated calibration will increase."

원본보기 아이콘

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.